Orosur Mining Inc Announces Second Quarter Results

SANTIAGO, Chile--(BUSINESS WIRE)--

Orosur Mining Inc (‘OMI’ or the ‘Company’) (TSX: OMI) (AIM: OMI), the South American focused gold producer and explorer, today announces its results for the second quarter ending 30 November 2012.

Further to the announcement of 7 December, the Company reiterates that production for the quarter was 13,970 ounces and Orosur remains on track to achieve its forecast production target of 63,000 to 68,000 ounces for the full year.

The Company reports that the development of the Arenal Deeps ramp and lateral development to enable production from transverse stopes are on track for completion during the quarter ending 28 February 2013. Completion of the ramp and lateral development will enable the Company to access higher grade transverse stope ore at Arenal Deeps for the first time in the last quarter of the financial year ending 31 May 2013.

Operating and Financial Summary

Key Results Summary^1		Three months ended 30^th November		Six Months Ended 30^th November
		2012	2011	2012	2011
Operating Results
Gold produced	Ounces	13,970	11,916	29,421	24,404
Cash cost^2	$US/oz	1,215	1,007	1,151	975
Average price received	$US/oz	1,694	1,717	1,642	1,663
Financial Results
Revenue	$US ‘000s	24,168	20,985	50,502	42,011
Net income for the period after tax	$US ‘000s	1,210	2,565	3,501	6,977
Cash flow from operations^3	$US ‘000s	3,485	4,651	8,523	10,223
Cash at the end of the period	$US ‘000s	3,745	17,054	3,745	17,054
Total debt at the end of the period	$US ‘000s	9,718	5,949	9,718	5,949
^(1)Results are based on IFRS and expressed in US dollars
^(2)Operating cash cost is total cost excluding royalties and capital tax on production assets
^(3)Before non-cash working capital movements

Production for the quarter was 13,970 ounces. Despite ore production being slowed from all pits due to heavy rain during the quarter and the mining sequence being changed production and cash costs from Arenal Deeps, Sobresaliente, and Zapucay were all in line with expectations.

However, ore mined from the Crucera pit during the quarter was of a lower grade than planned, resulting in lower ounces produced and higher cash costs per ounce at that pit. The cash cost per ounce for Crucera has increased because, though we have produced approximately the same amount of ore at the same cost, the grade of the ore has been lower than expected and so we have produced fewer ounces, thus increasing the total cash cost per ounce for the quarter to $US 1,215 an ounce compared with a target of approximately $US 1,100.

The impact of the higher cash costs and lower production from Crucera, offset in part by higher gold prices than we had planned for, reduced our cash flow for the quarter by $US 2.0 million. As a result the Company’s cash balance at the end of the quarter was $US 3.7 million.

CEO’s Comment

David Fowler, Chief Executive Officer, commented:

“Production was at the lower end of expectations for the quarter due to lower than anticipated grades from the Crucera pit. During December we slowed the rate of mining at Crucera in order to adapt the mining approach to reduce dilution, thus achieving less tonnes of ore produced at an improved grade. Accordingly, and taking account of the significant progress made on developing the ramp at Arenal Deeps, we remain confident that we will meet our production target for the second half, and achieve production for the full year of between 63,000 and 68,000 ounces.

“We anticipate that the grade achieved at Crucera will result in cash costs for the full year being in the range of $US 1,000 to $US 1,065 per ounce, a modest increase on the $US 975 that we forecast in October. We are focused on improving grade control and mining practices, and identifying where cost savings can be made elsewhere in the operation to offset part of the impact of the lower grade from Crucera.

“As a result of the lower cash flow in the second quarter we expect that our cash balance, prior to the additional capital expenditure outlined below, at year end will be approximately $US 13 million (based on production of 65,750 ounces and a gold price of $1,625 an ounce) compared with the $US 15 million that we announced in October. We expect to commit up to $US 4 million of additional capital expenditure in the second half of the year to accelerate the “pre-strip” of the San Gregorio extension that had been planned to commence in the next financial year . We have also incurred additional exploration expenditure to earn our interest in Pantanillo during the first half and plan, following a positive review of the project, to complete the initial acquisition of 25% of the Talca asset. Together with San Gregorio these investments will reduce the expected cash balance as at 31 May 2013 to approximately $US 8 million.

“Overall, we are confident that the Company remains on track to successfully deliver the strategy that was outlined in October 2012.”

Financial Highlights

• Revenue increased 15 per cent to $US 24.1m for the quarter (Q2 2011: $US 21.0m), with an average realized gold price of $US 1,694 (Q2 2011: $US 1,717/oz).
• Net profit after tax for the quarter was $US1.2m (Q2 2011: $US 2.6m). For the half year net profit after tax was $US3.5m (1H 2011: $US 7.0m).
• Cash flow from operations for the quarter was $US3.5m (Q2 2011: $US 4.6m) with $US 8.5m for the half year (1H 2011: $US 10.2m). $US 4.8m was consumed in working capital during the half. Working capital is expected to be maintained or reduced in the second half of the current financial year.
• Capital expenditure for the first half was $US 11.75m. Total capital expenditure for the year is expected to be $US 24.5m compared to an original budget of $US 20.5m. The Company is planning to spend up to $US4m in the second half of the current year to change the mining sequence of San Gregorio to accelerate pre-strip on this deposit. This will allow the Company to maintain higher ore stock levels to reduce risk and maximise throughput and maintain consistent production over the coming years.
• The Company’s cash balance at 30 November 2012 was $US 3.75m compared to $US 7.2m at 31 August 2012. This is in accordance with previous guidance. Cash flow from operations and profitability in the second half is expected to be significantly stronger as higher production levels are forecast with similar cost levels. The Company’s cash balance is therefore expected to increase in the second half.

Production Highlights

• Production for the quarter increased by 17 per cent year on year to 13,970 ounces (Q2 2011: 11,916 ounces). 29,422 ounces were produced for the half year (1H 2011: 24,404), an increase of 20.6 per cent.
• During the quarter 1.8m tonnes of waste (Q2 11/12 – 1.4m) and 284,880 tonnes of ore (Q2 11/12 – 232,070) were mined with an average grade of 1.50 g/t (Q2 11/12 – 1.25g/t).
• During the quarter 385,271 tonnes of ore (Q2 11/12 – 391,686) were fed into the plant at an average grade of 1.21 g/t (Q2 11/12 – 1.02 g/t) to produce 13,970 ounces of gold (Q2 11/12 – 11,916) with a metallurgical recovery of 93.4% (Q2 11/12 – 92.6%).
• Cash operating costs for the quarter were $US1,215 per ounce (Q2 2011: $US1,007). Higher costs were due to lower head grade mined from the Crucera pit, planned higher stripping costs for the quarter and Uruguayan inflation and peso exchange rate when compared to the prior year. Unit mining and processing costs including Arenal Deeps underground costs were in accordance or below budget.
• Successful continued development of the ramp at Arenal Deeps with 352 metres completed during the quarter. The ramp is planned for completion during January with ore production targeted for the second half of February when level development for the initial mining levels is complete.
• The production forecast for the full year remains on track to be in the range of 63,000 to 68,000 ounces. Production in the second half is expected to increase as Arenal development will transition from waste to ore, higher grade Arenal ore will be accessed in the last quarter and Crucera ore delayed from the first half of the year will be processed in the second half.
• Cash cost per ounce for the full year is expected to be in the range of $US1,000 to $US1,065 per ounce, approximately 6 per cent above the Company’s budget for the year, as a result of the average grade of ore mined from the Crucera open pit in the first half of the year being lower than initially expected. Unit operating costs are in line with budget.

Exploration and Development Highlights

• Maiden NI43-101 compliant resource estimate expected at Mahoma in the second half of fiscal 2013 – expected to support the commencement of feasibility work. 4,530 metres of infill and extension drilling have been completed on the Mahoma vein project. Best results reported to date for the current programme include 1.4 meters at 219 g/t, 1.6 meters at 32.1 g/t, 1.4 meters at 36.7 g/t, 3 meters at 20 g/t and 4 meters at 41.2 g/t.
• Company completed drilling and expenditure commitments on the Pantanillo project it optioned from Anglo American. During December the Company exercised its option to acquire the Pantanillo project and now owns the project. Field work during quarter three will be focused on target generation with no further drilling planned for this fiscal year.
• Completion of the previously announced review of the Talca project. The review identified a number of new areas with potential for discovery of high grade veins. Company to complete the acquisition of initial 25 per cent interest during 2013. Upon completion, the Company will have five years to perform further exploration work without having to make further payments. A CSMT geophysical survey is planned to test these and existing zones before further drilling is performed.
• At Anillo 75 km² of new mapping and 28 trenches were completed during the quarter. Anomalous Au and Ag values were obtained in the Anillo Central and South East sectors that suggest the existence of an underlying hydrothermal cell. A CSMT geophysical survey is planned for the third quarter with 2,000 meters of drilling in the fourth quarter to test these targets.

Financial and Operating Performance Details

Further information on financial and operating performance can be found in the Company’s Management Discussion and Analysis filed on SEDAR.

Exploration and Development

Mahoma

During fiscal 2013, 44 drill holes equal to 4,530.2 m were completed at the project: 1560.20 m of diamond drilling and 2970 m RC drilling (of which 1830 m were for pre-collars). Resource modelling will commence when the pending assay results are received in January with a first NI43-101 resource estimate for Mahoma targeted for completion during the second half of the financial year. A plan view of the drill holes contained in the following table is available on the Company’s website.

Hole Number	from meters	to meters	interval meters	Au g/t	Comments
MHDD029	70.8	72.4	1.6	5.96
MHDD030	25.9	26.4	0.5	1.39
	32.7	34.7	2	3.30
MHDD031	17.2	18	0.8	1.88
	38.8	39.85	1.05	1.02
	67	67.8	0.8	4.60
	86.15	87.55	1.4	219.33
MHDD032	92.03	92.6	0.57	30.10
MHDD033	91.9	92.6	0.7	3.13
	96.6	97.2	0.6	16.72
	98.3	99.9	1.6	32.15
	108.9	109.9	1	1.06
MHDD034	103.2	103.9	0.7	2.82
MHDD035	102.6	105.55	2.95	3.48
	106.1	106.6	0.5	2.80
MHDD036	91.9	93.3	1.4	36.71
MHDD037	No significant results
MHDD037	97	98.4	1.4	3.15
	101.5	102	0.5	3.56
MHDD038	103	105	2	1.77
	107.5	108	0.5	2.09
MHDD039	138.1	138.6	0.5	2.06
	139.2	140	0.8	2.80
	141.5	142	0.5	4.06
MHDD040	106.7	107.85	1.15	4.03
MHDD041	129.5	130.5	1	2.87
MHDD042	118.7	119.7	1	2.80
	125.7	126.2	0.5	2.10
MHDD043	51.55	52.1	0.55	1.62
	58.2	58.75	0.55	11.73
MHDD045	102.1	104.35	2.25	12.33
MHDD046	73.2	73.9	0.7	2.62
	78.9	79.9	1	3.60
	121.1	122.3	1.2	1.99
MHDD047	No significant results from RC pre-collar				Assay results pending from 100 m diamond drilling.
MHDD048	No significant results from RC pre-collar				Assay results pending from 50 m diamond drilling.
MHDD049	No significant results from RC pre-collar				Assay results pending from 60 m diamond drilling.
MHDD050	23	25	2	2.16	Assay results pending from 55 m of diamond drilling.
MHDD051	No significant results from RC precollar				Assay results pending from 54 m of diamond drilling.
MHDD052	No significant results from RC precollar				Assay results pending from 70 m diamond drilling.
MHDD053	40	41	1	10.70	Assay results pending from 18 m diamond drilling.
MHDD053	45	46	1	6.32
MHDD054	No significant results from RC precollar				Assay results pending from 30 m diamond drilling.
MHDD055	No significant results from RC precollar				Assay results pending from 34 m diamond drilling.
MHDD056	No significant results from RC precollar				Assay results pending from 50 m diamond drilling.
MHDD057	No significant results from RC precollar				Assay results pending from 28 m diamond drilling.
MHRC011	7	8	1	1.01
MHRC012	48	49	1	3.33
MHRC013	11	12	1	2.07
MHRC013	22	23	1	1.84
MHRC014	29	30	1	1.91
MHRC015	45	48	3	20.02
MHRC016	52	54	2	2.67
MHRC016	71	72	1	3.68
MHRC016	74	75	1	4.73
MHRC017	77	78	1	2.56
MHRC017	80	81	1	3.01
MHRC017	52	53	1	1.42
MHRC018	55	57	2	9.84
MHRC019	61	63	2	1.98
MHRC019	51	55	4	41.22
MHRC020	62	63	1	1.18
MHRC020	53	59	6	2.00
MHRC021	62	63	1	2.41
MHRC022	50	52	2	4.87
MHRC022	28	29	1	1.29
MHRC024	87	88	1	46.77
MHRC025	90	92	2	1.81

Arenal Deeps

Infill and extension drilling continued during the quarter. Results of holes drilled during the quarter are shown in the following table. Drill holes ALDD142 and ALD143 were drilled from surface with the remained drilled from underground. All holes are diamond drilling.

HOLE_ID	from (m)	to (m)	interval (m)	Au ppm	Comments
ALDD142	267.70	275.15	7.45	2.06	Drilled from Surface Includes 1.5 m at 17.8 g/t
	278.85	283.35	4.5	6.4
	294.55	303.15	8.6	2.4
ALDD143	295.80	301.65	5.85	1.63	Drilled from Surface
	305.45	306.85	1.4	1.96
	338.10	342.70	4.6	1.30
	352.60	361.45	8.85	2.65
DDHUGN132_W2_1	32	38.2	6.2	2.15
	74.6	76.8	2.2	1.30
	78.95	80.9	2.0	2.75
	84.5	93.55	9.1	3.70
DDHUGN132_W2_2	67.3	69.4	2.1	4.47
	108.5	117.9	6.3	4.05
DDHUGN132_W2_3	42.9	44.9	2.0	3.78
	69.7	77.7	8.0	2.12
	82.9	85.9	3.0	5.43
	95.6	114.8	19.2	8.45
DDHUGN132_W2_4	28.9	32.53	3.6	2.32
	38.9	41.6	2.7	2.84
	43.6	68.5	24.9	4.57
	76.3	84.3	8.0	5.63
	86.8	136.6	49.8	5.78
DDHUGN132_W2_5	26.7	29.1	2.4	2.27
	48.8	61.6	12.8	4.58
	63.9	70.1	6.2	2.55
	72.1	101	28.9	4.54
	105.5	107.5	2.0	2.02
DDHUGN157-8	28.5	30.15	1.7	1.73
	33.5	34.5	1.0	6.56
	45.9	47.9	2.0	8.97
	143.9	148.3	4.4	6.68
	154.4	159.2	4.8	5.19

Other Uruguay

Field work has commenced on the Presidente Terra property which is located approximately 240km NE from Montevideo or 370 km NW by road to the San Gregorio mine site. Geologic mapping and sampling are been carried on at the Presidente Terra Central Zone and the Retamosa zone which is in the western portion of the property. Both areas were previously not worked due to access restrictions. Depending on the results, drilling is planned for May 2013.

Surface geologic mapping and sampling was carried on at Arroyo Laureles, Rincon de los Castillos and Vaca Muerta projects during the quarter. Geophysics and subsequent RCD drilling is planned, depending on permitting during the second half of fiscal 2013. Rincon de los Castillos and Arroyo Laureles are thought to be the eastern strike extent of the San Gregorio system that has produced 1m ounces of mineralisation.

Anillo

During the quarter field work resulted in detailed geologic mapping of 75 km² and the completion of 28 trenches from which 528 samples were taken of which approximately 70 per cent of assay results have been received. Anomalous Au and Ag values were obtained at Anillo Central, consistent anomalous Au values at SE part suggest the existence of underlying hydrothermal cell. Locally high Cu values support this assumption.

Trench sampling results:

Hole Number	from meters	to meters	interval meters	Au ppb	Comments
T-ANC-06	66	68	2	48
	72	76	4	78	Grey quartz vein
including	72	74	2	92
	82	84	2	73.6
	162	166	4	64
T-ANC-07	4	6	2	44
	18	20	2	49
	24	28	4	69	Breccia and grey/white quartz vein
including	24	26	2	77
	52	54	2	81
	60	68	8	84
including	60	62	2	118.5
T-ANC-20	50	56	6	80
including	54	56	2	95
T-ANC-23	4	16	12	450
including	8	14	6	550	And 7.8 gr/t Ag including 12-14m @17gr/t Ag
T-ANC-25	0	2	2	73
T-ANC-27	6	14	8	45
T-ANC-22	22	23	1		1980ppm Cu
	36	38	2		1950ppm Cu
	36	37	1		2500ppm Cu
T-AN-SE-09	20	22	2	51.5
	62	64	2	47

Anillo is the higher part of an epithermal, advanced argillic alteration zone, and buried high grade Au mineralized structures are being targeted. The area is located to the NE of el Peñon Mine and SW of the Veta Victoria project, both owned by Yamana Gold Inc. A total of 11 km of CSAMT (6 lines) and 2.500 m of RCD drilling is planned for the first half of 2013.

Other Chile

Surface mapping and sampling at Talca has defined a number of new target areas during the half and confirmed the potential for the project to host additional economic mineralisation. A CSAMT survey is planned to follow-up these target areas during 2013.

Field work to define new targets is expected to commence in January 2013. No additional drilling is planned for the current fiscal year.

ENDS

For further information, please contact:
Orosur Mining Inc
David Fowler
CEO
or
Ignacio Salazar, + 562 9246800
CFO
[e-mail]
or
Canaccord Genuity Limited (Nominated Adviser & Joint Broker)
Rob Collins / Andrew Chubb, [phone]
or
Seymour Pierce (Joint Broker)
Stewart Dickson / Jeremy Stephenson, [phone]
or
Blythe Weigh Communications (Public Relations and Investor Relations)
Paul Weigh, [phone]
or
Robert Kellner, [phone]

About Orosur Mining Inc.

Orosur Mining Inc. is a fully integrated gold producer and exploration company focused on identifying and developing gold projects in Latin America. The Company operates the only producing gold mine in Uruguay (San Gregorio), and has assembled an exploration portfolio of high quality assets in Uruguay and Chile. The Company is quoted in Canada (TSX: OMI) and London (AIM: OMI).

Qualified Person's Statement

The information presented in this press release has been reviewed by Eric Roth, Director of OMI and Francisco Castillo, Manager of OMI both of whom are considered to be in compliance with NI 43-101 reporting guidelines. Dr. Roth holds a Ph.D. in Economic Geology from the University of Western Australia, is a Fellow of the AusIMM, and has had over 20 years of experience in international minerals exploration and property evaluation. Mr. Castillo is a mining engineer from the Universidad de Santiago de Chile, he is certified by the Comisión Minera de Chile and has 12 years of experience.

Forward Looking Statements

All statements, other than statements of historical fact, contained or incorporated by reference in this news release, including any information as to the future financial or operating performance of the Company, constitute "forward-looking statements" within the meaning of certain securities laws,

including the "safe harbour" provisions of the Securities Act (Ontario) and the United States Private Securities Litigation Reform Act of 1995 and are based on expectations estimates and projections as of the date of this news release. There can be no assurance that such statements will prove to be accurate, such statements are subject to significant risks and uncertainties, and actual results and future events could differ materially from those anticipated in such statements. Forward-looking statements include, without limitation success of exploration activities; permitting time lines; the failure of plant; equipment or processes to operate as anticipated; accidents; labour disputes; requirements for additional capital title disputes or claims and limitations on insurance coverage. The Company disclaims any intention or obligation to update or revise any forward looking statements whether as a result of new information, future events and such forward-looking statements, except to the extent required by applicable law.

- Financial Statements follow -

Orosur Mining Inc.
Condensed Interim Consolidated Statement of Financial Position
Thousands of United States Dollars, except where indicated
	Note Ref.	As at November 30, 2012 ($)	As at May 31, 2012 ($)
Assets
Cash and cash equivalents		3,745	11,461
Accounts receivables and other assets	3	4,823	4,734
Inventories	4	18,371	17,110
Total current assets		26,939	35,305
Property plant and equipment and development costs	5	63,180	58,737
Exploration and evaluation costs	6	31,652	26,872
Deferred income tax assets	11	5,225	3,642
Restricted cash		231	231
Total non-current assets		100,288	89,482
Total Assets		127,227	122,787
Liabilities and Shareholders’ Equity
Trade payables and other accrued liabilities	3	16,290	18,868
Financial debt	16	5,559	3,418
Derivative financial instruments	13	0	41
Total current liabilities		21,849	22,327
Financial debt		4,159	2,805
Environmental rehabilitation provisions	7	5,025	5,091
Total non-current liabilities		9,184	7,896
Total liabilities		31,033	30,223
Capital stock	8	55,153	55,074
Warrants		276	276
Contributed surplus		5,474	5,424
Retained earnings		35,291	31,790
Total shareholders’ equity		96,194	92,564
Total liabilities and shareholders’ equity		127,227	122,787

Approved on behalf of the Board of Directors
“David Fowler”	CEO	“Ignacio Salazar”	CFO

Orosur Mining Inc.
Condensed Interim Consolidated Statements of Income and Comprehensive income
Thousands of United States Dollars, except for earnings per share amounts
	Note Ref.	Three months ended November 30,		Six months ended November 30,
		2012 ($)	2011 ($)	2012 ($)	2011 ($)
Sales		24,168	20,985	50,502	42,011
Cost of sales	18	(22,067)	(15,745)	(43,803)	(30,707)
Gross profit		2,101	5,240	6,699	11,304
Corporate and administrative expense		(1,304)	(1,296)	(2,600)	(2,477)
Exploration expenses		(87)	(223)	(416)	(659)
Other income		358	576	391	632
Finance cost	17	(166)	(65)	(247)	(90)
Finance income	17	4	8	7	17
Derivative gain	13	472	0	41	0
Net foreign exchange (loss) gain		(343)	95	(338)	138
Profit before income tax		1,035	4,335	3,537	8,865
Recovery (provision) for income taxes	11	175	(1,770)	(36)	(1,888)
Total income and comprehensive income for the period		1,210	2,565	3,501	6,977
Earnings per common share
Basic	15	0.02	0.03	0.05	0.09
Diluted	15	0.02	0.03	0.05	0.09

Orosur Mining Inc.
Condensed Interim Consolidated Statements of Cash Flows
Thousands of United States Dollars, except where indicated
	Three months ended November 30,		Six months ended November 30,
	2012 ($)	2011 ($)	2012 ($)	2011 ($)
Net inflow (outflow) of cash related to the following activities   Cash flow from Operating activities
Net income for the period	1,210	2,565	3,501	6,977
Adjustments to reconcile net income to net cash provided from operating activities:
Depreciation	4,133	1,990	7,063	3,990
Fair value of derivatives	(472)	0	(41)	0
Accretion of asset retirement obligation	19	13	38	26
Deferred income tax assets	(938)	597	(1,583)	(377)
Stock based compensation	22	90	59	216
Gain on sale of property, plant and equipment	(481)	(562)	(514)	(562)
Others	(8)	(42)	0	(47)
Subtotal	3,485	4,651	8,523	10,223
Changes in operating assets and liabilities
Accounts receivables and other assets	(236)	(402)	(989)	304
Inventories	(1,557)	(368)	(1,261)	(146)
Trade payables and other accrued liabilities	(335)	5,444	(2,578)	3,070
Net cash generated from operating activities	1,357	9,325	3,695	13,451
Cash flow from financing activities
Proceeds from the issue of share options	54	4	70	20
Proceeds from the issue of shares in a private placement	0	0	0	12,360
Loans received	2,834	1,235	3,573	5,080
Loans payment	(10)	(15)	(21)	(27)
Net cash from financing activities	2,878	1,224	3,622	17,433
Cash flow from investing activities
Purchase of property, plant and equipment and development costs	(7,040)	(10,632)	(11,752)	(19,543)
Loans collected (granted)	900	0	900	(1,000)
Proceeds from the sale of fixed assets	909	1,366	942	1,366
Exploration and evaluation expenditure assets	(2,451)	(4,515)	(5,123)	(8,831)
Net cash used in investing activities	(7,682)	(13,781)	(15,033)	(28,008)
Increase (Decrease) in cash and cash equivalents	(3,447)	(3,232)	(7,716)	2,876
Cash and cash equivalents at the beginning of period	7,192	20,286	11,461	14,178
Cash and cash equivalents at the end of period	3,745	17,054	3,745	17,054

Orosur Mining Inc.
Condensed Interim Consolidated Statements of Changes in Shareholders’ Equity
Thousands of United States Dollars, except where indicated
	Three months ended November 30,		Six months ended November 30,
	2012 ($)	2011 ($)	2012 ($)	2011 ($)
Capital stock
Balance at beginning of period	55,099	55,068	55,074	42,692
Private placement net of share issuance costs	0	(276)	0	12,085
Finder’s fee for Talca acquisition	0	250	0	250
Exercise of stock options	54	6	70	21
Transfer from contributed surplus	0	0	9	0
Balance at end of period	55,153	55,048	55,153	55,048
Broker Warrants
Balance at beginning of period	276	0	276	0
Commission on private placement	0	276	0	276
Balance at end of period	276	276	276	276
Contributed surplus
Balance at beginning of period	5,452	5,264	5,424	5,138
Transfer to capital stock	0	(2)	(9)	(2)
Employee stock based compensation recognized	22	90	59	216
Balance at end of period	5,474	5,352	5,474	5,352
Retained earnings
Balance at beginning of period	34,081	35,005	31,790	30,593
Net income for the period	1,210	2,565	3,537	6,977
Balance at end of period	35, 291	37,570	35,291	37,570
Shareholders’ equity at end of period	96,194	98,246	96,194	98,246

Category Code: IR

Sequence Number: 358871

Time of Receipt (offset from UTC): 20130110T204337+0000